Agricultural Sector Support and Financing Policies in Algeria during the New Millennium: An Analytical Study of Upgrading Programmes and Financing Mechanisms

Abstract

This study aims to analyse the policies and mechanisms adopted to support and finance Algeria’s agricultural sector at the beginning of the new millennium, a period regarded as a crucial stage in the sector’s development. During this period, the State sought to promote economic development and achieve food security by implementing a series of economic recovery programmes and reforms targeting the agricultural sector.

The study examines the extent to which these programmes contributed to upgrading the sector and enhancing its productive capacities, with particular emphasis on the various support and financing mechanisms adopted, especially agricultural loans and investments, as well as the role of financial institutions, most notably the Bank of Agriculture and Rural Development (BADR), in addition to agricultural insurance.

The findings show that State intervention through support and financing programmes contributed to improving the conditions of agricultural activity, encouraging investment and increasing the sector’s productive capacities, thereby strengthening its role in economic development and food security. Nevertheless, the effectiveness of these policies continued to face several challenges related to the allocation and disbursement of financial resources, as well as the extent to which the various stakeholders benefited from available financing. This calls for greater efficiency in directing support and financing, more effective resource allocation, and stronger integration between financing, insurance and agricultural investment, with a view to achieving sustainable agricultural development and supporting food security in Algeria.